HomeMy WebLinkAbout1999-275
ORDINANCE NO. 99- 2 7
AN ORDINANCE OF THE BOARD OF COUNTY
COMMISSIONERS OF INDIAN RIVER COUNTY,
FLORIDA, PERTAINING TO REGULATION OF
° THE MOTOR VEHICLE TITLE LOAN INDUSTRY,
PROVIDING A TITLE; PROVIDING DEFINITIONS;
PROVIDING FOR CONDITIONS FOR ENGAGING
IN TITLE LOAN TRANSACTIONS; PROVIDING
FOR A MAXIMUM INTEREST RATE; PROVIDING
FOR REQUIREMENTS UPON TRANSACTION
SATISFACTION AND DEFAULT; PROVIDING FOR
RIGHT TO REDEEM AND LOST TITLE LOAN
AGREEMENTS; PROVIDING FOR LICENSES,
PROVIDING FOR RECORD KEEPING
REQUIREMENTS; PROVIDING FOR VIOLATIONS;
PROVIDING FOR ENFORCEMENT AND
PENALTIES; PROVIDING FOR HEARINGS AND
APPEALS, PROVIDING FOR TRANSITION
PERIOD; PROVIDING FOR APPLICABILITY;
PROVIDING FOR REPEAL OF LAWS IN
CONFLICT; PROVIDING FOR SEVERABILITY;
PROVIDING FOR INCLUSION IN THE CODE OF
LAWS AND ORDINANCES; AND PROVIDING
FOR AN EFFECTIVE DATE.
WHEREAS, Chapter 538, Article I, Florida Statutes, permits title loan lenders to
charge up to 22 percent per month in interest for a motor vehicle title loan; and
WHEREAS, current state law provides little or no regulation over the title loan
industry; and
WHEREAS, Section 538.17, Florida Statutes, permits political
subdivision of the State of Florida to enact laws more restrictive than the provisions of
Chapter 538, Article I, Florida Statutes; and
e
WHEREAS, the Board of County Commissioners of Indian River County, Florida,
intends to provide greater consumer protection to persons engaging in title loan transactions
in Indian River County than is currently provided in Chapter 538, Article I, Florida Statutes.
NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY
COMMISSIONERS OF INDIAN RIVERCOUNTY, FLORIDA, that:
SECTION 1. TITLE.
This Ordinance shall be known and cited as the "Title Loan Ordinance of Indian River
County, Florida."
SECTION 2. DEFINITIONS.
As used in this Ordinance:
(a) "Commission" means the Board of County Commissioners of Indian River
County, Florida.
(b) "Department" means the Indian River County Department of Community
Development.
(C) "Motor Vehicle" means an automobile, motorcycle, truck, trailer, semi -trailer,
truck tractor and semi -trailer combination, or any other vehicle operated on public highways
and streets, used to transport persons or property, and propelled by power other than
muscular power, but excluding vehicles which run only upon a track.
(d) "Person" includes, but is not limited to, any individual, corporation, company,
association, firm, partnership, society, or joint stock company.
(e) "Title Loan" means a loan of money secured by bailment of a certificate of title
to a motor vehicle.
(f) "Title Loan Agreement" means a written agreement whereby the title loan lender
agrees to make a loan of a specific sum of money to a borrower, and the borrower agrees to
give the title loan lender a security interest in an unencumbered motor vehicle certificate of
title owned by the borrower.
(g) "Title Loan Lender" means any person who is engaged in the business of
making title loans or engaging in title loan agreements with borrowers, which includes, but is
not limited to, secondhand dealers, as defined in Chapter 538, Florida Statutes, as may be
amended.
(h) "Ultimate Equitable Owner" means a natural person who, directly or
indirectly, owns or controls an ownership interest in a corporation, a foreign corporation, an
alien business organization, or any other form of business organization, regardless of whether
such natural person owns or controls such ownership interest through one or more natural
persons or one or more proxies, powers of attorney, nominees, corporations, associations,
partnerships, trusts, joint stock companies, or other entities or devices, or any combination
thereof.
SECTION 3. MOTOR VEHICLE TITLE LOAN TRANSACTIONS.
(a) A title loan lender may engage in a title loan transaction, if the following
conditions are met:
(1) The title loan lender maintains physical possession of the motor vehicle
certificate of title,
(2) The borrower maintains possession of, or control over, the motor
vehicle throughout the term of the loan,
(3) The borrower is not required to pay rent or any other charge for the use
of the motor vehicle,
(4) The title loan lender holds a current, active license issued by the
Department pursuant to this Ordinance,
(5) The title loan lender delivers to the borrower, at the time the loan is
made, a written title loan agreement that contains the following information:
(a) The make, model, and year of the motor vehicle to which the loan
relates,
(b) The vehicle identification number, or other comparable
identification number, along with the license plate number, if applicable, of the motor vehicle
to which the loan relates,
(c) The name, address, date of birth, physical description, and social
security number of the borrower,
(d) The date of the transaction,
(e) The identification number and the type of identification,
including the issuing agency, accepted from the borrower,
(f) The amount of money advanced, designated as the "amount
financed,"
(g) The maturity date of the title loan agreement,
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(h) The total title loan charge payable on the maturity date,
designated as the "finance charge,"
(i) The total amount, amount financed plus finance charge, which
must be paid to redeem the loan property on the maturity date, designated as the "total
amount of all payments,"
0) The annual percentage rate, computed in accordance with the
(k) The name and address of the title loan office,
number to which borrowers may address complaints,
type that:
(m) A statement printed in not less than fourteen (14) point, bold
(1) Your vehicle has been pledged as security for this loan and if
you do not repay this loan in full, including the finance charge, YOU WILL LOSE YOUR
VEHICLE.
(2) THIS LOAN HAS A VERY HIGH INTEREST RATE.
ONE HALF PERCENT (2 lh%) PER MONTH OR AN ANNUAL PERCENTAGE
RATE LOWER THAN THIRTY PERCENT (30%).
regulations adopted
by the Federal Reserve
Board pursuant to the Federal Truth -in
-Lending
(k) The name and address of the title loan office,
number to which borrowers may address complaints,
type that:
(m) A statement printed in not less than fourteen (14) point, bold
(1) Your vehicle has been pledged as security for this loan and if
you do not repay this loan in full, including the finance charge, YOU WILL LOSE YOUR
VEHICLE.
(2) THIS LOAN HAS A VERY HIGH INTEREST RATE.
ONE HALF PERCENT (2 lh%) PER MONTH OR AN ANNUAL PERCENTAGE
RATE LOWER THAN THIRTY PERCENT (30%).
4
0
(n) A statement that "The borrower represents and warrants that the
motor vehicle and the certificate of title is not stolen, it has no liens or encumbrances against
it, the borrower has the right to enter into this transaction, and the borrower will not attempt
to sell the motor vehicle or apply for a duplicate certificate of title while the title loan
agreement is in effect,"
(o) Immediately above the signature of the borrower, a statement
that "I, the borrower declare that the information I have provided is true and correct and I
have read and understand the foregoing document,"
(p) A blank line for the signature of the borrower, and
(6) The title loan lender displays, in a prominent place in the title loan
premises, a sign no smaller than three (3) feet by five (5) feet with the following message in
letters in no less than one (1) inch high:
IF YOU RECEIVE A TITLE LOAN, YOUR VEHICLE WILL BE PLEDGED AS
SECURITY FOR THE LOAN, IF YOU DO NOT REPAY THIS LOAN IN
FULL, INCLUDING ALL FINANCE CHARGES, YOU WILL LOSE YOUR
VEHICLE.
THIS LOAN HAS A VERY HIGH INTEREST RATE. DO NOT COMPLETE A
THAN TWO AND ONE HALF PERCENT (2 lh%) PER MONTH OR AN
ANNUAL PERCENTAGE RATE OF THIRTY PERCENT (30%).
v
v
(b) No title loan agreement shall designate a weekend or legal holiday as a maturity
date. A title loan that becomes payable on a day that the title loan lender's location or office
is closed shall be deemed under the terms of the agreement as becoming payable on the next
business day.
(c) No part of this Ordinance shall be construed to impair or affect the obligation
of any title loan agreement or contract that was lawfully entered into prior to the effective
date of this Ordinance.
SECTION 4. MAXIMUM INTEREST RATE.
percent (2 112%) per thirty (30) day period the title loan agreement remains outstanding and
unsatisfied. In determining compliance with the maximum interest and finance charges, the
computation must be simple interest and not add-on interest or any other interest
computation.
(b) The annual percentage rate that may be charged in a title loan transaction may
equal, but not exceed, the annual percentage rate that must be computed and disclosed as
required by the federal Truth in Lending Act and Regulation Z of the Board of Governors of
for
is
is
the Federal Reserve System. When the
(a) A title loan lender may
charge a maximum
interest rate of
two and one-half
percent (2 112%) per thirty (30) day period the title loan agreement remains outstanding and
unsatisfied. In determining compliance with the maximum interest and finance charges, the
computation must be simple interest and not add-on interest or any other interest
computation.
(b) The annual percentage rate that may be charged in a title loan transaction may
equal, but not exceed, the annual percentage rate that must be computed and disclosed as
required by the federal Truth in Lending Act and Regulation Z of the Board of Governors of
for
is
is
the Federal Reserve System. When the
period
which the
charge computed
more or
less than one month, the maximum rate for the period must be computed on the basis of one -
thirtieth (1/30) the applicable monthly interest rate, multiplied by the number of days of the
(c) Any transaction involving a borrower's delivery of a motor vehicle certificate
of title in exchange for the advancement of funds on the condition that the borrower shall or
may redeem or repurchase the certificate of title upon the payment of a sum of money,
whether the transaction be characterized as a "buy -sell agreement," "sale-leaseback agreement,"
or otherwise, shall be deemed a violation of this Ordinance if such sum exceeds the amount
that a title loan lender may collect in a title loan agreement under this Ordinance or if the
terms of the transaction otherwise conflict with the permitted terms and conditions of a title
loan agreement under this Ordinance.
(d) No charges, including interest, in excess of the combined total of all charges
permitted by this section shall be allowed.
SECTION 5. TRANSACTION SATISFACTION AND DEFAULT.
(a) When the title loan has been paid in full, the title loan lender must deliver to
the borrower a certificate of title clear of all encumbrances placed upon the title by the title
(b) A title loan lender who engages in a title loan transaction may take possession
of a motor vehicle upon a borrower's default under the title loan agreement. Unless the
borrower voluntarily surrenders the motor vehicle, the title loan lender may only take
possession of a motor vehicle through an agent licensed by the State of Florida to repossess
motor vehicles. Any sale or disposal of a motor vehicle shall be made through a motor vehicle
dealer licensed under Section 320.27, Florida Statutes.
(c) Except as provided by this section, title loan lenders shall comply with the
in full.
loan lender within thirty
(30)
days of such payment
(b) A title loan lender who engages in a title loan transaction may take possession
of a motor vehicle upon a borrower's default under the title loan agreement. Unless the
borrower voluntarily surrenders the motor vehicle, the title loan lender may only take
possession of a motor vehicle through an agent licensed by the State of Florida to repossess
motor vehicles. Any sale or disposal of a motor vehicle shall be made through a motor vehicle
dealer licensed under Section 320.27, Florida Statutes.
(c) Except as provided by this section, title loan lenders shall comply with the
applicable requirements of Chapter 679, Part V, Florida Statutes.
(d) Nonpublic sales of motor vehicles or disposal of motor vehicles between
licensees, business affiliates or family members shall be presumed to be commercially
unreasonable.
SECTION 6. RIGHT TO REDEEM; LOST TITLE LOAN AGREEMENTS.
(a) Any person presenting identification as the borrower and presenting the
borrower's copy of the title loan agreement to the title loan lender is presumed to be entitled
to redeem the certificate of title described in the title loan agreement. However, if the title
loan lender determines that the person is not the borrower, the title loan lender is not
redeeming the certificate of title must sign the borrower's copy of the title loan agreement,
which the title loan lender may retain to evidence such person's receipt of the certificate of
by
The
required
to allow
the redemption
of the certificate
of title such
person. person
redeeming the certificate of title must sign the borrower's copy of the title loan agreement,
which the title loan lender may retain to evidence such person's receipt of the certificate of
identification to the title loan lender, together with written authorization from the borrower,
and the title loan lender shall record that person's name and address on the title loan
agreement retained by the title loan lender. In any such case, the person redeeming the
certificate of title shall be provided a copy of such signed form as evidence of such transaction.
(b) If the borrower's copy of the title loan agreement is lost, destroyed, or stolen,
the borrower must notify the title loan lender, in writing by certified or registered mail,
return receipt requested, or in person evidenced by a signed receipt, and receipt of such notice
shall invalidate such title loan agreement if the certificate of title has not previously been
is borrower
title.
A person redeeming the
certificate
of title
who not the must show
identification to the title loan lender, together with written authorization from the borrower,
and the title loan lender shall record that person's name and address on the title loan
agreement retained by the title loan lender. In any such case, the person redeeming the
certificate of title shall be provided a copy of such signed form as evidence of such transaction.
(b) If the borrower's copy of the title loan agreement is lost, destroyed, or stolen,
the borrower must notify the title loan lender, in writing by certified or registered mail,
return receipt requested, or in person evidenced by a signed receipt, and receipt of such notice
shall invalidate such title loan agreement if the certificate of title has not previously been
redeemed. Before delivering the certificate of title or issuing a new title loan agreement, the
title loan lender shall require the borrower to make a written statement of loss, destruction, or
theft of the borrower's copy of the title loan agreement. The title loan lender shall record on
the written statement the type of identification and the identification number accepted from
the borrower, the date the statement is given, and the number or date of the title loan
agreement lost, destroyed or stolen. The statement shall be signed by the title loan lender or
the title loan office employee who accepts the statement from the borrower.
SECTION 7. LICENSES.
(a) No person may engage in business as a title loan lender ninety (90) days after
the effective date of this Ordinance unless the title loan lender has a valid license issued by the
business. The Department shall issue more than one license to an applicant if that applicant
be
for location
license.
loan
Department.
A separate
license will
required each physical
each
of title
business. The Department shall issue more than one license to an applicant if that applicant
(b) An application for a license pursuant to this section must be submitted to the
Department on such form as the Department may prescribe. If the Department determines
that a license should be granted, it shall issue the license for a period not to exceed two (2)
for
license.
is
complies
with the requirements
license renewal
of this section
each
(b) An application for a license pursuant to this section must be submitted to the
Department on such form as the Department may prescribe. If the Department determines
that a license should be granted, it shall issue the license for a period not to exceed two (2)
each title loan application.
fee.
license
is
(c) A title loan lender shall pay a biennial
automatically
license renewal
A
A
non-refundable
application
and
license
fee shall
accompany
an
initial
application
for
years.
each title loan application.
inactive license may be reactivated within ninety (90) days after the date it became inactive
fee.
license
is
(c) A title loan lender shall pay a biennial
automatically
license renewal
A
that not
inactive license may be reactivated within ninety (90) days after the date it became inactive
become inactive.
renewed at the end of each two (2) year period shall
automatically
An
inactive license may be reactivated within ninety (90) days after the date it became inactive
(d) All fees required pursuant to this section, including the initial application and
license fee, license renewal fee and reactivation fee shall be established by resolution of the
Commission.
(e) Each license must specify the location for which it is issued and shall be
conspicuously displayed at that location. When a title loan lender wishes to move a title loan
office to another location the title loan lender shall give thirty (30) days prior written notice to
the Department by certified or registered mail, return receipt requested, and the Department
days.
inactive
fee.
upon
the submission
of a completed
reactivation form and payment
of a reactivation
to this section
No
(d) All fees required pursuant to this section, including the initial application and
license fee, license renewal fee and reactivation fee shall be established by resolution of the
Commission.
(e) Each license must specify the location for which it is issued and shall be
conspicuously displayed at that location. When a title loan lender wishes to move a title loan
office to another location the title loan lender shall give thirty (30) days prior written notice to
the Department by certified or registered mail, return receipt requested, and the Department
days.
inactive
license may be reactivated
after ninety (90)
is
(d) All fees required pursuant to this section, including the initial application and
license fee, license renewal fee and reactivation fee shall be established by resolution of the
Commission.
(e) Each license must specify the location for which it is issued and shall be
conspicuously displayed at that location. When a title loan lender wishes to move a title loan
office to another location the title loan lender shall give thirty (30) days prior written notice to
the Department by certified or registered mail, return receipt requested, and the Department
transferable or assignable.
(f) A title loan lender licensed pursuant to this section shall designate and maintain
an agent in this state for service of process.
(g) A title loan lender licensed pursuant to this section shall apply to the
Department for a new license upon a change in ownership of twenty five percent (25%) or
license issued
for
license
is
shall then amend the license
accordingly.
A pursuant
to this section
not
transferable or assignable.
(f) A title loan lender licensed pursuant to this section shall designate and maintain
an agent in this state for service of process.
(g) A title loan lender licensed pursuant to this section shall apply to the
Department for a new license upon a change in ownership of twenty five percent (25%) or
an application for transfer of an existing license is required for any change, directly, or
beneficially, in the ownership of a title loan location if one or more of the holders of at least
seventy five percent (75%) of the outstanding equity interest in the title loan location or office
before the change in ownership continue to hold at least seventy five percent (75%) of the
outstanding equity interest in the title loan location or office after the change in ownership.
for
license
more by a natural
person in any
title loan location or
office.
No application
a or
an application for transfer of an existing license is required for any change, directly, or
beneficially, in the ownership of a title loan location if one or more of the holders of at least
seventy five percent (75%) of the outstanding equity interest in the title loan location or office
before the change in ownership continue to hold at least seventy five percent (75%) of the
outstanding equity interest in the title loan location or office after the change in ownership.
must:
(h) To be eligible for a license to engage in title loan transactions, an applicant
(1) File with the Department a bond in the amount of one hundred
thousand dollars ($100,000.00) for each license with a surety company qualified to do business
in this state. The bond shall be to the Department and in favor of any consumer who is
injured in the context of a title loan transaction by the fraud, misrepresentation, breach of
contract, financial failure or other failure of the business, unfair or deceptive trade practice,
disclosure violation, or violation of any provision of this Ordinance by the title loan lender.
The term of the bond shall be for at least the term of the license. An injured consumer may
award to a prevailing consumer reasonable attorney's fees and costs, including appellate
attorney's fees and costs. The surety bond shall require that any surety company canceling a
bond provided to a title loan lender pursuant to this section shall notify the Department of
bond. The
bring an
action in a court of
competent
jurisdiction
at least ten (10) days before cancellation.
against the surety
court shall
award to a prevailing consumer reasonable attorney's fees and costs, including appellate
attorney's fees and costs. The surety bond shall require that any surety company canceling a
bond provided to a title loan lender pursuant to this section shall notify the Department of
(2) Not have been convicted of a felony within the last ten (10) years or be
acting as an ultimate equitable owner for someone who has been convicted of a felony within
the preceding ten (10) years.
(3) Not have been convicted, and not acting as an ultimate equitable owner
for someone who has been convicted, of a crime directly related to the duties and
responsibilities
such cancellation
in
writing
at least ten (10) days before cancellation.
(2) Not have been convicted of a felony within the last ten (10) years or be
acting as an ultimate equitable owner for someone who has been convicted of a felony within
the preceding ten (10) years.
(3) Not have been convicted, and not acting as an ultimate equitable owner
for someone who has been convicted, of a crime directly related to the duties and
(i) If an applicant for a title loan lending license is other than a corporation, the
responsibilities
of
a title loan lender within
the preceding ten (10)
years.
(i) If an applicant for a title loan lending license is other than a corporation, the
eligibility requirements of subsections (h) (2) and (h) (3) shall apply to each direct or ultimate
equitable owner.
(j) If an applicant for a title loan lending license is a corporation, the eligibility
requirements of subsections (h)(2) and (h)(3) apply to each direct or ultimate equitable owner
of at least twenty-five percent (25%) of the outstanding equity interest of such corporation and
to each Department and executive officer.
(k) The Department shall determine the form of the license and may perform
0) Licensees shall report changes in address, location of records, and any change of
books be
days
principal
place of business.
criminal background checks
as appropriate
to
this section.
thirty (30)
of the change.
0) Licensees shall report changes in address, location of records, and any change of
SECTION 8. RECORD KEEPING.
(a) Every title loan lender licensed by the Department shall maintain, at the
principal place of business designated on the license, all books, accounts, records, and
documents necessary to determine the title loan lender's compliance with this Ordinance
(b) The Department may authorize maintenance of records at a location other than
books be
days
principal
place of business.
The Department
an executive officer
within
thirty (30)
of the change.
SECTION 8. RECORD KEEPING.
(a) Every title loan lender licensed by the Department shall maintain, at the
principal place of business designated on the license, all books, accounts, records, and
documents necessary to determine the title loan lender's compliance with this Ordinance
(b) The Department may authorize maintenance of records at a location other than
and available at a reasonable and convenient location within Indian River County, Florida.
(c) All books, accounts, records, documents and receipts for expenses paid by the
title loan lender on behalf of the borrower, including each contract signed by the borrower
and expenses incurred by the title loan lender in the event of foreclosure and property
recovery, shall be preserved by the title loan lender and shall be made available to the
books be
a
principal
place of business.
The Department
may require and records to produced
and available at a reasonable and convenient location within Indian River County, Florida.
(c) All books, accounts, records, documents and receipts for expenses paid by the
title loan lender on behalf of the borrower, including each contract signed by the borrower
and expenses incurred by the title loan lender in the event of foreclosure and property
recovery, shall be preserved by the title loan lender and shall be made available to the
(d) The Commission may prescribe by resolution the minimum information to be
shown in the books, accounts, records, and documents of licensees so that such records will
enable the Department to determine the title loan lender's compliance with this Ordinance.
(e) Title loan lenders shall keep all certificates
furnished borrower Ordinance.
of title
in fireproof
or fire
Department
for examination
for five (5) years after the date of original
entry.
transaction under
(d) The Commission may prescribe by resolution the minimum information to be
shown in the books, accounts, records, and documents of licensees so that such records will
enable the Department to determine the title loan lender's compliance with this Ordinance.
(e) Title loan lenders shall keep all certificates
furnished borrower Ordinance.
of title
in fireproof
or fire
resistant
(d) Willful imposition
connection
with a title loan
transaction under
this
Ordinance.
storage while the certificates are in the lender's possession.
SECTION 9. VIOLATIONS.
(a) Failing to comply with any provision of this Ordinance, any provisions
of resolutions adopted by the Commission pursuant to this Ordinance, or any written
agreement entered into with the County.
(b) Committing any act of fraud, misrepresentation, deceit, or gross
negligence, regardless of reliance by or damage to a borrower, or any illegal activity in
furnished borrower Ordinance.
required to be stated
The following
(d) Willful imposition
connection
with a title loan
transaction under
this
Ordinance.
this Ordinance.
acts shall constitute
violations
of
(a) Failing to comply with any provision of this Ordinance, any provisions
of resolutions adopted by the Commission pursuant to this Ordinance, or any written
agreement entered into with the County.
(b) Committing any act of fraud, misrepresentation, deceit, or gross
negligence, regardless of reliance by or damage to a borrower, or any illegal activity in
(c) Fraudulently misrepresenting, circumventing or concealing any matter
furnished borrower Ordinance.
required to be stated
or to a pursuant to this
(d) Willful imposition
connection
with a title loan
transaction under
this
Ordinance.
(c) Fraudulently misrepresenting, circumventing or concealing any matter
(e) Engaging in false, deceptive, or misleading advertising.
(f) Failing to maintain, preserve and keep available for examination, all
books, accounts, or other documents required by this Ordinance, resolution of the
Commission, state or federal law, or any agreement entered into with the Department.
furnished borrower Ordinance.
required to be stated
or to a pursuant to this
(d) Willful imposition
(e) Engaging in false, deceptive, or misleading advertising.
(f) Failing to maintain, preserve and keep available for examination, all
books, accounts, or other documents required by this Ordinance, resolution of the
Commission, state or federal law, or any agreement entered into with the Department.
(d) Willful imposition
of illegal charges
in any
title loan transaction.
(e) Engaging in false, deceptive, or misleading advertising.
(f) Failing to maintain, preserve and keep available for examination, all
books, accounts, or other documents required by this Ordinance, resolution of the
Commission, state or federal law, or any agreement entered into with the Department.
(g) Aiding, abetting, or conspiring with another person to circumvent or
violate any of the requirements of this Ordinance, or the requirements of any state or federal
law regulating title loan lenders.
(h) Refusing to permit inspection of books or records in an investigation or
examination by the Department or refusal to comply with a subpoena issued by the
Department.
(i) Engaging in criminal conduct in the course of business as a title loan
0) Knowingly entering into a title loan agreement with a person under the
(k) Making any agreement that requires or allows for the personal liability
(1) Knowingly entering into a title loan agreement with any person who is
under the influence of drugs or alcohol when such condition is visible or apparent, or with
of the borrower or the waiver of any of the
provisions
characteristics
of this Ordinance.
or the registered name
(1) Knowingly entering into a title loan agreement with any person who is
under the influence of drugs or alcohol when such condition is visible or apparent, or with
(m) Entering into a title loan agreement in which the amount of money
advanced in consideration for the loan secured by any single certificate of title exceeds one
third of the value of the motor vehicle. The value of the motor vehicle shall be determined by
reference to the loan value in the current Southeastern Edition of the National Automobile
Dealer's Association Official Used Car Guide. The value may vary based upon documented
his business.
unique
characteristics
any person using a name other than his own name
or the registered name
of
(m) Entering into a title loan agreement in which the amount of money
advanced in consideration for the loan secured by any single certificate of title exceeds one
third of the value of the motor vehicle. The value of the motor vehicle shall be determined by
reference to the loan value in the current Southeastern Edition of the National Automobile
Dealer's Association Official Used Car Guide. The value may vary based upon documented
unique
characteristics
of the
motor vehicle.
t
title or motor vehicle repossessed pursuant to this Ordinance.
(o) Failing to return a certificate of title or repossessed motor vehicle to a
borrower, with any and all of the title lender's liens on the property properly released, within
thirty (30) days of the payment of the full amount due, unless the property has been seized or
impounded by an authorized law enforcement agency, taken into custody by a court, or
otherwise disposed of by court order.
(p) Charging or receiving any finance charge, interest, cost, or fee which is
not permitted by this Ordinance.
(c) Engaging in business as a title loan lender without a current, active
license
issued by the Department issued pursuant
to this Ordinance.
(n) Failing
to
exercise reasonable
care in the safekeeping of
a certificate
of
title or motor vehicle repossessed pursuant to this Ordinance.
(o) Failing to return a certificate of title or repossessed motor vehicle to a
borrower, with any and all of the title lender's liens on the property properly released, within
thirty (30) days of the payment of the full amount due, unless the property has been seized or
impounded by an authorized law enforcement agency, taken into custody by a court, or
otherwise disposed of by court order.
(p) Charging or receiving any finance charge, interest, cost, or fee which is
not permitted by this Ordinance.
(c) Engaging in business as a title loan lender without a current, active
(r) Refusing to accept partial repayment of the amount financed when all
accrued finance charges have been paid.
(s) Charging a prepayment penalty.
(t) Capitalizing any unpaid finance charge as part of the amount financed in
the renewal of a title loan agreement.
(u) Failing to account for and remit to the borrower all surplus proceeds
from the disposal of the borrower's motor vehicle, within fifteen (15) days of disposal.
(v) Advertising to engage in title loan transactions without a current, valid
license
issued by the Department issued pursuant
to this Ordinance.
pursuant to this Ordinance.
(r) Refusing to accept partial repayment of the amount financed when all
accrued finance charges have been paid.
(s) Charging a prepayment penalty.
(t) Capitalizing any unpaid finance charge as part of the amount financed in
the renewal of a title loan agreement.
(u) Failing to account for and remit to the borrower all surplus proceeds
from the disposal of the borrower's motor vehicle, within fifteen (15) days of disposal.
(v) Advertising to engage in title loan transactions without a current, valid
SECTION 10, ENFORCEMENT AND PENALTIES.
license
issued by the Department
pursuant to this Ordinance.
SECTION 10, ENFORCEMENT AND PENALTIES.
S
(a) This Ordinance shall be enforced by personnel authorized by the Department,
county code enforcement officers, and law enforcement officers within their respective
(c) The county clerk shall:
fines
issue
infraction.
(1) Accept
jurisdictions.
and
(b) The county court shall have jurisdiction
into an account
(c) The county clerk shall:
fines
issue
infraction.
(1) Accept
designated
and
(b) The county court shall have jurisdiction
into an account
over
all violations
Such
of this Ordinance.
(c) The county clerk shall:
fines
issue
infraction.
(1) Accept
designated
and
receipts therefor.
into an account
(2) Provide a uniform citation serially numbered for notifying alleged
shall be issued to and receipted by the Department.
(d) Violation of any provision of this Ordinance shall be punishable by a fine not
infraction.
issue of commission
of the
be paid
into an account
Such
forms
violators to appear
and answer charges of violations
of this Ordinance.
dollars ($500.00). Any person
citation
of
shall be issued to and receipted by the Department.
(d) Violation of any provision of this Ordinance shall be punishable by a fine not
Ordinance shall be fined an amount as established by the Commission by resolution.
(e) Any person issued a citation shall be deemed to be charged with a civil
violation and shall comply with the directives on the citation.
(f) Payment shall be made, either by mail or in person, to the violations bureau
within the time specified on the citation. If a person follows this procedure, he or she shall be
deemed to have admitted the infraction and to have waived his or her right to a hearing on the
infraction.
issue of commission
of the
be paid
into an account
has
to exceed five hundred
dollars ($500.00). Any person
who violated any provision
of
this
Ordinance shall be fined an amount as established by the Commission by resolution.
(e) Any person issued a citation shall be deemed to be charged with a civil
violation and shall comply with the directives on the citation.
(f) Payment shall be made, either by mail or in person, to the violations bureau
within the time specified on the citation. If a person follows this procedure, he or she shall be
deemed to have admitted the infraction and to have waived his or her right to a hearing on the
designated for use by the Department.
(h) Any person who fails to make payment within the specified period shall be
infraction.
issue of commission
of the
be paid
into an account
designated for use by the Department.
(h) Any person who fails to make payment within the specified period shall be
(g) All fines collected as
a result of the citation shall
be paid
into an account
designated for use by the Department.
(h) Any person who fails to make payment within the specified period shall be
(i) Any person who elects to appear before the court to contest the citation shall
be deemed to have waived his or her right to pay the civil penalty. The court, after a hearing,
shall make a determination as to whether a violation has occurred and may impose a civil
penalty not to exceed five hundred dollars ($500.00) plus court costs.
(j) If a person fails to pay the civil penalty, or fails to appear in court to contest the
citation, he or she shall be deemed to have waived his or her right to contest the citation. A
fine
fine in
fine
forth
in
and the court shall impose
a at
that time. If
the
deemed to have waived
his or her right to pay
the civil
exceed sixty (60)
penalty as set the
citation.
(i) Any person who elects to appear before the court to contest the citation shall
be deemed to have waived his or her right to pay the civil penalty. The court, after a hearing,
shall make a determination as to whether a violation has occurred and may impose a civil
penalty not to exceed five hundred dollars ($500.00) plus court costs.
(j) If a person fails to pay the civil penalty, or fails to appear in court to contest the
citation, he or she shall be deemed to have waived his or her right to contest the citation. A
paid, the case shall be dismissed. If the fine is not paid, the judgment may be entered up to the
maximum civil penalty.
(k) Any person cited for an infraction under this Ordinance shall sign and accept
fine
fine in
fine
is
default judgment may be entered
and the court shall impose
a at
that time. If
the
the or appear
paid, the case shall be dismissed. If the fine is not paid, the judgment may be entered up to the
maximum civil penalty.
(k) Any person cited for an infraction under this Ordinance shall sign and accept
to sign and accept a citation issued pursuant to this Ordinance shall be guilty of a
misdemeanor of the second degree, punishable as provided by sections 775.082, 775.083 and
775.084, Florida Statutes, as may be amended.
0) Failure to comply with the requirements of this Ordinance shall also constitute
a violation of a county ordinance and shall be punishable, upon conviction, pursuant to
section 125.69(1), Florida Statutes, as may be amended, by a fine not to exceed five hundred
fine in
the citation
indicating
per
a
promise to
pay
the or appear
court.
Any person who refuses
to sign and accept a citation issued pursuant to this Ordinance shall be guilty of a
misdemeanor of the second degree, punishable as provided by sections 775.082, 775.083 and
775.084, Florida Statutes, as may be amended.
0) Failure to comply with the requirements of this Ordinance shall also constitute
a violation of a county ordinance and shall be punishable, upon conviction, pursuant to
section 125.69(1), Florida Statutes, as may be amended, by a fine not to exceed five hundred
in jail, or by both such fine and imprisonment. Each violation of this Ordinance shall
constitute a separate offense. In addition to the sanctions contained herein, the county shall
in
days
dollars ($500.00)
per
violation
or imprisonment
the county
jail
not to
exceed sixty (60)
in jail, or by both such fine and imprisonment. Each violation of this Ordinance shall
constitute a separate offense. In addition to the sanctions contained herein, the county shall
M
take any other appropriate legal action, including but not limited to, cease and desist orders,
other administrative action and requests for temporary and permanent injunctions to enforce
the provisions of this Ordinance. It is the purpose of this Ordinance to provide additional
cumulative remedies.
(m) In addition to fines, the Department may also enforce the provisions of this
Ordinance by one or more of the following actions by the Department, upon written notice
and hearing as provided in this Ordinance, unless the person in violation waives the right to a
hearing:
Ordinance.
(1) Denying an application for a license pursuant to this Ordinance.
(2) Revoking or suspending a license previously granted pursuant to this
(3) Placing a title loan lender licensed pursuant to this Ordinance or an
applicant for a license on probation for a period of time and subject to such conditions as the
Department may specify.
(4) Issuing a letter of concern or reprimand.
(5) Placing permanent restrictions or conditions upon issuance or
maintenance of a license.
SECTION 11. HEARINGS AND APPEALS.
(a) Any person aggrieved by the action of the Department may appeal such
decision to the Code Enforcement Board.
(b) All hearings required by
this Ordinance shall be preceded
by a minimum
of ten
(10) days written notice. The notice shall specify the grounds for the action taken by the
Department. The aggrieved party may be represented by an attorney and shall be entitled to
present a defense.
(c) The aggrieved party shall file a written notice of appeal requesting a hearing and
setting forth a brief statement of the reasons therefor with the Department. The notice of
appeal shall be accompanied by an appropriate filing fee as set by Resolution of the
Commission. The appeal shall be filed within twenty (20) days of receipt of the notice of the
action by the Department.
(d) Upon receipt of the notice of appeal, the Department shall set a time and place
for the hearing and shall give the aggrieved party reasonable notice of the hearing. All
hearings shall be scheduled and determined as soon as practicable and in no event shall a
hearing be scheduled more than thirty (30) days from the date that the notice of appeal was
filed. Written notice of the time, date and place of the hearing of the appeal by the code
Enforcement Board shall be sent to the aggrieved party no later than fifteen (15) days prior to
the date of the hearing. Failure of the aggrieved party to respond within the time frame
specified herein or failure to appear at a duly noticed hearing shall be deemed a waiver of the
right to a hearing and an admission of the acts specified in the notice. Failure to claim
certified mail notifying the aggrieved party of the hearing shall be construed as failure to
appear at a duly noticed hearing.
(e) The Code Enforcement Board shall consider, de novo, the case record as well
as any evidence or testimony offered by any interested party. The Code Enforcement Board
may affirm, modify or reverse the decision of the Department.
(f) A decision to affirm the action of the Department shall constitute final agency
action for purposes of further appeal.
(g) The appeal of a decision of the Department's action shall stay the effective date
of such action.
(h) Any person may appeal a final determination of the Code Enforcement Board
within thirty (30) days of the rendition of the decision by filing an administrative appeal in
Circuit Court for the Nineteenth Judicial Circuit in and for Indian River County, Florida.
SECTION 12, TRANSITION PERIOD.
Any person operating as a title loan lender on the effective date of this Ordinance shall
have ninety (90) days from the effective date of this Ordinance to comply with the
regulations, restrictions, and licensing provisions of this Ordinance before the Department
may initiate any administrative or civil action, or refer a matter for criminal prosecution.
Within ten (10) days of the effective date of this Ordinance, all title loan lenders shall provide
written notice to all borrowers with whom they have outstanding loan agreements on the
effective date of this Ordinance, if they intend not to renew the title loan agreement under the
at the end of the term of the agreement in order to redeem the borrower's certificate of title.
SECTION 13. APPLICABILITY.
This Ordinance shall be applicable in both the unincorporated and incorporated areas
of Indian River County, Florida.
The
be due
terms of this Ordinance.
notice shall state the total
amount that will and payable
at the end of the term of the agreement in order to redeem the borrower's certificate of title.
SECTION 13. APPLICABILITY.
This Ordinance shall be applicable in both the unincorporated and incorporated areas
of Indian River County, Florida.
SECTION 14, REPEAL OF LAWS IN CONFLICT.
All county ordinances in conflict with any provisions of this Ordinance are hereby
repealed to the extent of such conflict.
SECTION 15. SEVERABILITY.
If any section, paragraph, sentence, clause, phrase, or word of this Ordinance is for any
reason held by the Court to be unconstitutional, inoperative, or void, such holding shall not
affect the remainder of this Ordinance.
SECTION 16. INCLUSION IN THE CODE OF LAWS AND ORDINANCES.
The provisions of this Ordinance shall become and be made a part of the Code of Laws
and Ordinances of Indian River County, Florida. The sections of this Ordinance may be
renumbered or relettered to accomplish such, and the word "ordinance" may be changed to
"section", "article", or other appropriate word.
SECTION 17. EFFECTIVE DATE.
The provisions of this Ordinance shall become effective upon filing with the
Department of State.
APPROVED and ADOPTED by the Board of County Commissioners of Indian
River . County, Florida, on this the 2 R t. h day of September
s
INDIAN RIVER COUNTY FLORIDA, B ITS
BOARD OF COUNTY COMMISSIONERS
;p R, z11 2
By*ZL
Kenneth R. Macht, Chairman
By; ---
Terrence P. O'Brien
Assistant County Attorney
EFFECTIVE DATE: Filed with the Department of State on the 4day of 04
8/12/99(ord/title loan ordinance)TO/sw